semáforo

English translation: off the street

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Explanation:I think this term refers to the illegal sales of cigarettes <off the street>. Usually sold on the street corner or in some cases from the trunk of the car. 40 duros refers to the cheap cost (1 duro = 5 pesetas) of the illegal cigarretes. Peseta was a currency used in Spain prior to the introduction of the Euro (200 pesetas would equal roughly $1.50). This must originate from Spain.

Explanation:Could it be someone selling cigarettes illegally ? Some countries do have strong restrictions on cigarettes - for example in Canada a pack costs $12 dollars or so but Indian Reserves are allowed to get them tax free. If natives sell to you (illegally) you may pay $5 a pack....
Prehaps it refers to this sort of getting cheaper cigs....

Explanation:I think this term refers to the illegal sales of cigarettes <off the street>. Usually sold on the street corner or in some cases from the trunk of the car. 40 duros refers to the cheap cost (1 duro = 5 pesetas) of the illegal cigarretes. Peseta was a currency used in Spain prior to the introduction of the Euro (200 pesetas would equal roughly $1.50). This must originate from Spain.

Greg Hunt: Sounds right to me. You do get people selling tissues and the like at traffic lights in Spain sometimes, although I've never been offered cigarrettes. I think "illegal" in the translation would sound a bit too severe.